FxWirePro- Gold Daily Outlook
Gold hits fresh all-time high due to fed rate cut hopes. It hits a high of $2589 and is currently trading around $2584.
Markets eye US Fed monetary policy this week for further direction.
According to the CME Fed watch tool, the probability of a 50 bpbs rate cut in Sep increased to 59% from 30% a week ago.
US dollar index- Bearish. Minor support around 100.50/99.80. The near-term resistance is 101.40/102.
Factors to watch for gold price action-
Global stock market- Bullish (Negative for gold)
US dollar index - Bearish (Positive for gold)
US10-year bond yield- Bearish (positive for gold)
Technical:
The near–term support is around $2560, a break below the target of $2544/$2535/$2520. The yellow metal faces minor resistance around $2590 and a breach above will take it to the next level of $2622/$2650.
Indicator (4-hour chart)
CCI (14)- Bullish
CCI (50)- Bullish
Average directional movement Index - Bullish
It is good to buy on dips around $2560 with SL around $2540 for TP of $2600/$2622.
